Record profits announced for Mortgage Advice Bureau

The Mortgage Advice Bureau, whose 500-strong network operates almost entirely out of estate agents’ offices, has announced a record pre-tax group profit of £2.6m for 2012.

This is up by 44% on the previous record of £1.8m in 201, and makes 2012 the fourth successive year where MAB’s annual profit growth exceeded 40%. 

MAB said it expects its growth to continue this year, buoyed by improving market conditions and government schemes such as Help to Buy.

Last year’s profit total takes into account £200,000 of costs related to the acquisition of Mortgage Talk in March 2012. MAB also acquired Sherwin’s last year.

MAB handled record levels of mortgage applications and sales of protection and general insurance products during 2012. In terms of lending volumes, MAB has increased its run rate from just over £3bn to £5bn in the last 12 months and anticipates lending volumes will continue to rise strongly.

Peter Brodnicki, chief executive of MAB, said: “We are delighted with our results for 2012 at a time when we had to give a lot of attention to successfully integrate Mortgage Talk into the MAB group.
 
“Despite a very weak mortgage market over the last five years, MAB has always remained a profitable business without the need to increase charges, and yet we have continued to invest heavily in our appointed representative proposition. As a result we have attracted more very high-quality and ambitious firms which remain our target market.”